BENGALURU: The National Capital Region (NCR) has emerged as a hotbed for flexible workspace operators as the space is utilised, predominantly, by start-ups, new entrants, and consulting firms who select NCR as a preferred location in India due to low price point, with operators, such as, Regus, Awfis, 91 Springboard, and Instaoffice providing membership options ranging from $60 to $180 per seat, per month.

According to recent study by Colliers International on flexible workplace, during 2016 Regus opened three new sites in Delhi NCR, bringing their total leased portfolio in Delhi NCR to nearly 70,000 sq. ft. Similarly, Isharespaces, a relatively new Mumbai based business centre, took up 7,000 sq. ft. in Paras Downtown Centre in Golf Course Road, Gurgaon. Smartworks has taken up two facilities, one also in Paras Downtown Centre and the other in Logix Cyber Park in Noida. Bengaluru based CoWrks o ce space operator plans to expand its operations to Gurgaon.

"Office leasing activity remained stable in 2016. Delhi NCR recorded an absorption of about 7.6 million sq. ft. In Gurgaon, the office leasing volume gained momentum – the total absorption hitting 3.4 million sq. ft. Golf Course Road, emerged as the preferred location for exible workspace operators. In Noida, major traction with operators has been on the Yamuna Expressway and Noida Expressway – this is due to the critical mass of technology and electronics firms in this micro market," the report mentioned.

The report also mentioned, IT giants Oracle, Microsoft, Amazon, Google are also contributing to the flexible workspace sector – recently Oracle launched the company’s first “Oracle Start-up Cloud Accelerator” in Bengaluru.

Cloud, 24/7 access to space and access to its wide network of customers and partners. Oracle has plans to expand its start-up cloud accelerator to Gurgaon and Noida as well in addition to other cities like Chennai, Pune, Trivandrum and Vijayawada. Initiatives such as this will lure more investors, entrepreneurs and talent to the ecosystem.

Presently the sector largely encompasses many small players with local presence. Going forward we expect these small players to expand their portfolio across multiple cities thus broadening the sector. "With the entry of national level developers and international players like Wework and Regus we expect the sector to become more organised and consolidated, in tune with international best practices.," the report stated.

Currently, the Goods and Services Tax (GST) is levied at 12 per cent on payments made for under-construction property or ready-to-move-in flats where completion certificate has not been issued at the time of sale.